Key Moments:
- Ray Pineault has announced his intention to depart from his role as Mohegan’s president and CEO, with his final day set for Dec. 28, 2025.
- The company experienced significant financial setbacks following its $1.6 billion investment in South Korea’s Inspire Entertainment Resort.
- Mohegan recently sold its WNBA Connecticut Sun team for $325 million as part of efforts to strengthen its balance sheet.
Leadership Transition at Mohegan
Mohegan has revealed that Ray Pineault, who currently holds the positions of president and chief executive officer, is stepping down from the company after a nearly 25-year tenure. Pineault began his career at Mohegan in 2001 as a senior attorney for the tribal government and later occupied several leadership roles, including president and general manager of Mohegan Sun and chief operating officer.
Pineault ascended to the CEO position in 2021 and will officially leave on Dec. 28, 2025. Announcing his decision, Pineault said, “With Mohegan well-positioned for the future, including the expansion of online gaming, the time is right for me to transition from my role as president and CEO of Mohegan. It has been my distinct honor to serve my Tribe for the past 25 years, and I look forward to focusing more on my family, who undoubtedly have made sacrifices for me to hold this position.”
James Gessner Jr., chair of the Mohegan Tribal Council, commented, “The devotion and passion Ray has demonstrated over the last 25 years are testaments to his unwavering dedication to helping our Tribe. Being the head of an organization, especially an international business, comes with immense responsibility, unrelenting hours, and a willingness to make personal sacrifices for the betterment of his fellow Tribal members and the thousands of Mohegan employees who rely on his leadership and guidance.”
Financial and Operational Challenges
The departure of Pineault coincides with a period of difficulty for Mohegan. In August, the company reported declines in both income and earnings for the third quarter of its 2025 fiscal year. Recent challenges have included the loss of management contracts for Resorts in Atlantic City (where Mohegan retains a 10% ownership stake) and the ilani Casino Hotel in Washington. While Mohegan’s online operations have shown growth, its Canadian properties, Fallsview and Casino Niagara, have seen EBITDA fall short of expectations.
Setbacks in International Expansion
Mohegan’s largest investment outside North America – a $1.6 billion commitment to build Inspire Entertainment Resort at Incheon International Airport in South Korea – has not delivered the anticipated results. As casino play failed to meet projections, the company defaulted on a $275 million term loan tied to the property. In February, Bain Capital, the main lender, assumed ownership of the resort.
In a move to bolster liquidity and reduce costs, Mohegan sold the WMBA Connecticut Sun franchise for $325 million in August. Steve Pagliuca, co-chair of Bain Capital and co-owner of the NBA Boston Celtics, purchased the team and plans to relocate it to Boston.
New York Casino Bid Falls Flat
Mohegan partnered with Soloviev, a New York real estate company, to pursue one of the three available downstate New York casino licenses. Pineault previously emphasized the importance of this project, stating, “[New York] aligns with our strategy to expand into key markets. New York presents an incredible opportunity due to its vast population and appeal as a global entertainment hub.”
The proposed Freedom Plaza development just south of the United Nations Headquarters, however, failed to receive local support and did not move ahead due to opposition from the Community Advisory Committee.
Legacy and Acknowledgement
Despite ongoing challenges, Mohegan leadership has credited Pineault’s nearly quarter-century of service as a critical factor in safeguarding the tribe’s financial stability and future. Gessner stated, “On behalf of the Board and our Tribe, we thank you for all you have done to protect every Mohegan for 13 generations to come. We wish happiness and blessings in the next part of your journey.”
| Key Transactions and Investments | Details |
|---|---|
| Inspire Entertainment Resort (South Korea) | $1.6 billion investment; defaulted on $275 million loan; property taken over by Bain Capital |
| Sale of WMBA Connecticut Sun | Sold for $325 million to Steve Pagliuca, co-chair of Bain Capital |
| New York Casino License Bid | Partnered with Soloviev; Freedom Plaza project failed to advance due to local opposition |
- Author
Daniel Williams
